99 Cents Only Stores, a West Coast discount chain with locations in California, Texas, Arizona, and Nevada, is winding down its business. The company has partnered with Hilco Global, a financial services company, to manage the liquidation of their merchandise as well as the sale of fixtures, furnishings, and equipment from their 371 stores. Store locations in California, Texas, Arizona, and Nevada will be managed by Hilco Real Estate during the sales process.
Mike Simoncic, who has been serving as interim CEO since August 2020, expressed regret at having to wind down operations. He cited various challenges faced by the retail sector in recent years including the impact of the COVID-19 pandemic on consumer behavior and overall demand for discount retailers. Additionally, rising levels of shrink and inflationary pressures made it difficult for the company to continue operating.
Chris Wells will now assume the position of chief restructuring officer as Mike Simoncic steps down from his role. Bloomberg had reported that the possibility of a bankruptcy filing was being considered by 99 Cents Only Stores just last week. However, after further evaluation and consideration of all options available to them
